Regency enters fifth amended, restated credit agreement

By Taylor Fox

New York, Feb. 12 – Regency Centers, LP and Regency Centers Corp. entered into a fifth amended and restated credit agreement, according to an 8-K filing with the Securities and Exchange Commission.

The credit agreement provides for an unsecured revolving credit facility in the amount of $1.25 billion for a term of four years, plus two six-month extension options, and includes an accordion feature for up to an additional $1.25 billion.

The interest rate on the facility is equal to Libor plus a margin that is determined based on the borrower's long-term unsecured debt ratings, currently Libor plus 87.5 basis points.

The agreement includes financial covenants relating to ratio of debt to total asset value, ratio of unsecured indebtedness to unencumbered asset value, ratio of adjusted EBITDA to fixed charges, ratio of secured debt to total asset value and ratio of unencumbered NOI to unsecured interest expense, and provides for increases in the maximum ratio for the quarter in which a material acquisition occurs and during the four subsequent fiscal quarters.

The credit agreement also includes customary events of default.

Wells Fargo Bank, NA is the administrative agent and PNC Bank, NA, is the syndication agent.

Wells Fargo Securities, LLC and PNC Capital Markets LLC are joint book managers.

Wells Fargo Securities, LLC, PNC Capital Markets LLC, Truist Securities, Inc., U.S. Bank NA and Regions Capital Markets, a division of Regions Bank, are joint lead arrangers. U.S. Bank NA, Truist Bank, Regions Bank, Bank of America, NA, JPMorgan Chase Bank, NA and Mizuho Bank, Ltd. are documentation agents.

Regency is a Jacksonville, Fla.-based real estate investment trust that owns retail shopping centers located in affluent and densely populated areas, most of which are grocery anchored.

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